Rhode Island slides into liability crisis; Texas escapes

Twenty states remain on the AMA's crisis list; six states are OK. Nearly all of the rest are showing problem signs.

By Tanya Albert, AMNews staff. June 6, 2005.

The nation's smallest state -- Rhode Island -- replaces the country's second biggest state -- Texas -- on the American Medical Association's list of states in a medical liability insurance crisis.

While there may be a big difference in state size, Rhode Island physicians say that their insurance problems are no smaller than what doctors in Texas experienced in recent years.

Statistics from the Patients First Coalition, a 65-member organization that includes Rhode Island physicians, insurers and businesses, showed that the state's surgeons have experienced a 175% increase in insurance rates since 2002. For physicians in general practice, rates have increased 200%, according to Patients First.

A recent Rhode Island Medical Society survey found that unaffordable insurance rates have led 49% of the state's physicians to discontinue or consider discontinuing some medical services; 48% said medical liability costs have forced them to consider leaving the state or giving up clinical practice.

"It's a dubious distinction, and we're not proud," RIMS executive director Newell E. Warde, PhD, said in reference to Rhode Island's new designation as an AMA crisis state. "Clearly, though, it supports what we've been telling the politicos -- this ain't no joke."

Rhode Island's Legislature is considering a bill that includes reforms the medical society supports, including reducing pre-judgment interest rates and requiring plaintiffs' lawyers to consult with a medical expert who can certify that there is a good faith basis to go forward with a lawsuit.